Shelby Co. Woman Charged With TennCare Fraud

NASHVILLE, Tenn. – A Shelby County woman is charged with TennCare fraud in connection with falsely reporting her income in order to appear eligible for the state’s healthcare insurance program.

The Office of Inspector General (OIG), with the assistance of the Shelby County Sheriff’s Office, today announced the arrest of Fiona Urcella Vaughn, 41, of Bartlett. She is charged with TennCare fraud and theft of property over $10,000. Vaughn is accused of falsely reporting her income to the state in order to obtain $17,992.48 in medical services, paid for by TennCare even though she wasn’t actually eligible for the program.

“It’s troubling that anyone with other resources attempts to be enrolled in a program meant for people who truly need healthcare benefits through TennCare,”  Inspector General Manny Tyndall said.  “We are pursuing and prosecuting these cases across the state.”

TennCare fraud is a Class E felony carrying a sentence of up to two years in prison.  Theft of services over $10,000 is a Class C felony punishable by up to six years in prison.  District Attorney General Amy T. Weirich is prosecuting.

The OIG, which is separate from TennCare, began full operation in February 2005 and has investigated cases leading to more than $3 million being repaid to TennCare, with a total estimated cost avoidance of more than $163.6 million for TennCare, according to latest figures. To date, 2,427 people have been charged with TennCare fraud.

Through the OIG Cash for Tips Program established by the Legislature, Tennesseans can get cash rewards for TennCare fraud tips that lead to convictions. Anyone can report suspected TennCare fraud by calling 1-800-433-3982 toll-free from anywhere in Tennessee, or log on to Office of Inspector General and follow the prompts that read "Report TennCare Fraud."